AI-Powered Industrial Energy Management Software Provider Ndustrial Raises $18.5M In Series B Funding To Accelerate Growth

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AI-Powered Industrial Energy Management Software Provider Ndustrial Raises $18.5M In Series B Funding To Accelerate Growth

On May 14th 2024, US-based AI-powered industrial energy management software provider Ndustrial announced that it had raised $18.5 million in a Series B funding round co-led by ABB and GS Energy. ABB – an electrification and automation vendor – and GS Energy – the energy holding company of GS Group – will both partner with Ndustrial to offer its energy intensity platform to asset-heavy industrial firms. Ndustrial plans to leverage the infusion of new capital and its new partnerships to accelerate industry adoption of its solutions.

Ndustrial is taking a unique approach to energy management and optimization software by focusing its efforts on the critical metric of energy intensity – the amount of energy, emissions and cost required for one unit of production. Ndustrial supports this approach with both a data management platform (Ndustrial Contxt) and a data integration and insights application (Ndustrial Nsight). Ndustrial Contxt enables real-time data ingestion and consolidation of both energy and production data into one solution, supporting real-time energy optimization decisions based on production yield and efficiency. The ability to integrate and contextualize data from different systems and sources is critical for organizations – 92% of industrial decision-makers in the 2023 Verdantix operational excellence global survey highlighted the ability to integrate data from multiple sources and eliminate silos as a significant or very significant challenge for their organization.

Ndustrial Nsight leverages the data contextualized in Contxt, allowing customers to visualize energy and production data in real time, optimize energy spend based off Ndustrial’s energy rate tariff engine, and normalize energy KPIs based on production data to rank site performance and drive additional efficiencies. This funding showcases the rising demand for energy management software to cope with increased energy price volatility and additional pressure to hit sustainability targets as upcoming regulations are set to incorporate new reporting requirements. Nearly a third of industrial decision-makers in the 2023 Verdantix operational excellence global survey rank implementing digital technologies for emissions reduction and reducing energy consumption of industrial operations as a top priority.

It will be interesting to see how ABB leverages this new partnership, as it already offers energy management and optimization software through its OPTIMAX platform. OPTIMAX provides customers with monitoring and reporting functionality, along with control and optimization capabilities that support day-ahead energy resource optimization based on weather and load forecasts. Ndustrial’s integration of real-time production processes and data could add an additional layer to ABB’s existing energy management software offering and support more manufacturing-focused firms – as opposed to OPTIMAX’s target customers in the oil and gas, utilities, and chemicals industries.

This latest funding round – along with Lumian Energy’s $3.2 million pre-seed funding round in January and Verse’s $20.5 million Series A funding round in May – showcases a strong focus on the industrial energy management software sector in 2024. Investment activity will continue to accelerate as additional AI-focused and data management vendors claim a share in a rapidly evolving and growing market.

To learn more about industrial energy management software, stay tuned for the upcoming Verdantix Smart Innovators report.

Josh Graessle

Josh is a Senior Analyst in the Verdantix Operational Excellence practice. Prior to joining Verdantix, Josh worked at Volvo Group, where he gained experience in factory support and implementation of industrial systems, industrial internet of things, digitalization, and data analytics. He holds a BS in Mechanical Engineering, as well as an MBA from the University of Delaware.